This is the state of SEA’s tech and startup scene in 2025

Southeast Asia’s tech and startup ecosystem is heading toward a reckoning in 2025.

The funding winter’s chilling effect lingers, while high-profile scandals have put corporate governance under a harsh spotlight. It is indeed a tough time for our community, especially with global political uncertainty in the backdrop.

Not everything is bleak, though. In fact, the factors that made the region exciting – its demographic dividends and openness to innovation – still hold true.

Having weathered the shifts of the first half of the 2020s, Tech in Asia set out to understand how people really feel about the state of our tech ecosystem.

Ahead of our annual Tech in Asia Conference, we surveyed over 100 individuals across the region to capture their sentiments. Then, we used the survey data to produce Vital Signs: The 2025 Tech in Asia Conference Report.

This “pulse check” may not be representative of the entire community, but it gives us a sense of people’s perceptions, anxieties, and hopes for Southeast Asia’s tech scene.

Here’s a glimpse at some of the report’s key insights.

1. AI – a potential tension point

Southeast Asia is generally AI-forward, with 95.1% of respondents saying they use the tech at work in some capacity.

Of the employees we surveyed, 68.9% aren’t worried about AI taking their jobs. Meanwhile, 87.2% of founders believe the tech will affect their workforce in some way, with 31.9% envisioning that it will replace 11% to 30% of their employees. This could hint at a potential disconnect and future tension between employers’ and employees’ perspectives on the role of AI.

2. Eyes on China

China is deemed a market to watch within the Southeast Asian tech community, with 50% of respondents naming it as the one to look to for inspiration. That’s up from the 40.8% we recorded in a similar survey from 2020.

In contrast, only 20.2% of respondents said the region should turn to the US for inspiration, down from 24% in 2020.

When asked about people or companies with the biggest positive impact on the Asian tech ecosystem, participants repeatedly mentioned Chinese firms, particularly ByteDance, Alibaba, and BYD.

As Southeast Asia’s startup ecosystem continues to mature, China may serve as a blueprint for emerging tech and innovation across the region.

3. Work arrangement ideals vs. reality

Hybrid work is now a common work setup across Southeast Asia. However, there’s a disparity between employees’ preferences and their actual work arrangements.

Many employees want more flexibility than they currently have, with 47.1% of respondents saying they prefer working on-site once or twice a week. However, only 30.8% actually do. And while nearly 24% of respondents are in the office five days a week, only 9.6% want to be.

Interestingly, 53.8% of those not working on-site full time would consider switching jobs if required to be in the office five days a week. Companies will then need to strike a balance between imposing return-to-office mandates and allowing for flexibility to retain top talent.

Just keep building

These three takeaways are just the tip of the iceberg when it comes to the insights you can get from this year’s report.

From funding sentiment and hiring expectations to the most impactful names and companies, this pulse check lets the tech community zoom in on the current landscape and helps founders and employees navigate the tumultuous time we’re in.

To learn more about the state of Southeast Asia’s tech ecosystem, fill in the form below to download your copy of the report today!